Amorepacific’s net profit dips 31% on increased costs
South Korean cosmetics giant Amorepacific said on April 29 that its first-quarter net profit dipped 31 percent from a year earlier on increased costs.
Net profit reached 122 billion won ($106 million) on a consolidated basis during the January-March period, compared with 177 billion won for the same months the previous year, the company said in a regulatory filing.
Operating profit plunged 21 percent on-year to 187 billion won, compared with 236 billion won a year earlier, while sales inched up 1.4 percent on-year to 1.45 trillion won, it said.
The company attributed the weak performance to continued investment in its luxury business as it accelerates its overseas push.
The combined operating income of Amorepacific Group, which includes smaller brands like Innisfree and Etude House, reached 205 billion won in the first quarter, down 26 percent from a year ago.
Sales inched down 1 percent on-year to 1.64 trillion won during the cited period.
By Ram Garikipati and newswires (firstname.lastname@example.org)